HYBE, the agency behind the popular idol group BTS, has become the first entertainment company to be designated on the list of conglomerates subject to tighter supervision by the Korea Fair Trade Commission. This recognition reflects the company’s growth alongside the global popularity of K-pop.
Under South Korean law, conglomerates with assets of 5 trillion won or more are classified as “large corporations” and are required to publicly disclose details about interaffiliate transactions, their ownership structure, and key information on nonaffiliates. This year, the number of conglomerates on the watchlist increased to 88, up from 82 last year. The new additions include HYBE, Paradise Group, SONO International, Hyundai Marine & Fire Insurance, and Youngone, among others.
Last year, Daewoo Shipbuilding & Marine Engineering was on the list but was removed after being acquired by Hanwha in July of the same year.
HYBE’s total assets are estimated to be around 5.25 trillion won. A KFTC representative noted, “The rapid growth of the entertainment industry, driven by the global attention on K-pop and major revenue sources like albums and concerts, is reflected in this designation.”
They said, other new additions to the list, such as Paradise Group (casino), SONO International (hotel), and Youngone (outdoor clothing), have seen improved performance due to the recovery in consumer sentiment and the increase in foreign visitors to South Korea following the COVID-19 endemic.
